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More than 4 million fear they`ll be made redundant Consumers took on more mortgage debt in July Debts called in by parents Teenagers `scared of debt` Rising household costs could pressure people in debt Pensions debt may impact workers` retirement funds Welsh young adults `at highest risk of debt problems` Over 50s can`t afford to enjoy retirement because of debts Budget: tackling the nation`s debt Short-term debt: `no need for price control` The cost of clearing debt Education debt Tackling the national debt Number of mortgage deals on offer exceeds 3,000 Almost 5 million take on debt to pay household bills OECD: household debt more than 120% of disposable income Petrol price falls help people in debt Amount of mortgage debt taken on at lowest level in ten years Northern Ireland sees significant IVA rise Overdraft debt `becoming more expensive`

Tackling credit card debt - a few pointers

30/03/2010

Credit card debt can be a major worry, but an article in Independent.ie (`Ireland`s leading online news portal`) points out a few ways that borrowers could tackle it.

`Credit card debt is a massive problem and it is getting worse,` the article begins, going on to explain that people in the Republic of Ireland collectively owe €2.9 billion, spread out across 2.17 million personal credit cards.

Moreover, while the average credit card debt is €1,200, `debt advisers talk of regularly coming across cases where people owe as much as €20,000 on their card`.

Looking at ways of tackling their debts, the article starts by stressing the importance of not just paying the minimum amount. Someone with a debt of €8,000 faces 20 years of payments - and total interest charges of €6,000 - if they pay just 2.5% of the remaining balance per month.

Another option may be to cut up the card, but there are downsides to this. Car hire companies, for example, almost always insist on a swipe of a credit card in case the driver damages the car - while debit cards (in many cases, a good substitute for a credit card) simply may not work abroad.

Having said that, there`s always the option of cutting up the credit card but not cancelling the account itself. This leaves the borrower free to order another card when they`re planning to go on holiday, so they have it when they really need it, but aren`t tempted to use it in the meantime.

Finally, there`s consolidation. A debt consolidation loan can come with a significantly lower interest rate than most credit cards, which means the user can cut the interest they`re paying while they`re focusing on cutting the debt itself.

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Debt Advisers Direct offer free debt advice and a range of debt solutions, including debt management plans, debt consolidation loans and IVAs (Individual Voluntary Arrangements).

More than 4 million fear they`ll be made redundant 16/12/2010 - According to R3`s quarterly personal debt tracker, more than 4 Consumers took on more mortgage debt in July 26/08/2010 - Consumers took on £2bn more mortgage debt than they repaid Debts called in by parents 26/08/2010 - According to research, `the bank of Mum and Dad` is Teenagers `scared of debt` 19/08/2010 - Nearly two thirds of teenagers are `scared` of debt, according